Annual Contract Value

“You want to make sure that the ACV that you're going after, it has to top the hurdle, right? In, in other words, you look at your unit economics and is it healthy or not? You don't want to be taking deals that are, you know, negative to your unit economics. Bu…”

“The only economically feasible way for us to continue growing to hundreds of millions of dollars in revenue was to go increase for ACV. So our sales productivity go up and be able to continue to hire.”

“What we basically did was try to go have conversations with our top clients in each one of those verticals. And just spend time doing product discovery on what is going deeper look like and basically working backwards without telling it to like, how do we get …”

“When we did the lead to revenue model, it, the model for Vercel this year was most sensitive to our ACV. So the most credible way for me to increase revenue growth rate was that particular area.”

“If I'm a 10 K ACV, then I'm exclusively inside sales and I better be able to keep the cost of sale low. Otherwise, to your point, I can't justify it. The unit economics don't work.”

“For a long time, I've been saying, you know, if you have to go through procurement, 25,000 dollar minimum ACV, and now I think I'm up to about, given inflation, literally, and just how many years it's been, it's like, I think it might be 30 or 35 is kind of my…”

“Something quite controversial, which is to take the thing that our sales team was gated on a self-hosted version of retool and made that available self-serve to anybody who wanted it. They didn't have to talk to a salesperson and that kind of blew up the funne…”

“We're focused on enterprise brands, but the ACV is in the. 60 to 90 K a year range. We're signing annual agreements for, you know, somewhere between 60 and 90 grand a year.”

“They don't want to operate in this five, 10, 20,050 thousand ACV. They have aspirations to do hundreds of thousands or millions in ACV. India has never done that.”

“With smaller business, you're going to have a lower ACV. Like, organic has to be the lifeblood of your growth engine.”

“And if you know your ICP down pat, A five K ACB and below, I would, 100% try to figure out how do you get as much of an automated process to engage.”

“About, I'd say now at this point, about 60 K.”

“Two out of three of these buyers want a fully digital experience to do their whole purchase, and that goes for 20 K ACV deals all the way up to 50.”

“So if you look at a 10 K ACV, well, that's definitely not a field sales rep, right? If I'm a 10 K ACV that I'm exclusively inside sales and I better be able to keep the cost of sale low. Otherwise, to your point, I can't justify it. The unit economics don't wo…”

“The events one, when it works, it really works. And it works usually in tight verticals and you need a high annual contract, high enough annual contract value to make it work.”

“Traditional large sales teams selling three K ACVs and they say, ah, but you know, if we prove it and if we do this and this and this, then it'll expand to 30 K and truth be told, it rarely does.”

“So if someone pays us 10,000 dollars a year, And it costs us 10,000 dollars to acquire them. We get paid back in 12 months, right? Anything above that, you start to question whether your economics work, anything below that, it's really good.”

“For us, the, I think if you can't have a customer paying you repeatedly a 100,000 dollars annually. It's very hard to build a ten million dollar annual recurring, like, ten million dollar revenue company, right?”

“And the ACV is a 10 K and it's like, ah, and they're like, ah, but it'll scale. It'll scale, Sam. It rarely scales. And so we're layering on this enterprise cost base for this very SMB PLG revenue base, which has really been born out of the PLG motion. And I'm…”

“You can't basically be in the worst of both worlds where you've got a slow sales cycle and a low ACV. Like that is the quadrant of death basically.”

“The average the ACV of an SDR generated customer went three X about 30 days after we made the change.”

“I think at like a 25 K ACV, 90% margin software business. So like a classic sort of like high end SMB, low end, mid market sales. Everyone can afford this.”

“Of those two, I'd go ACV. I think that it's actually much more important that somebody understand the profile and they understand the mechanics of doing a deal of that size with that profile. They can learn the subject matter expertise in many cases.”

“Our average ACV is by mid-three hundred K range.”

“When you hire your first couple reps, they do need to have sold a software product And I vaguely similar, something, at least at vaguely close to your ACV, like they can't have sold pool equipment or plastic. I sometimes people hire that. I all, it can work ou…”

“We say 20, the more the merrier, but in an ideal world, you at least have a 20 grand ACV.”

“Our ACV is a little bit more than double that today.”

“On the first, I'd say 80% plus would be a good benchmark. Anything below that there should be a really clear reason or a really clear understanding for why that is the case.”

“First, make sure they've sold at your price point. A sales, if you're a five K ACV startup, do not hire someone from a million dollar a year group, no matter how much you love them. It's the wrong toolkit.”

“ACV on the property management side. Some of the names that you mentioned is relatively nominal, right? It could be anywhere between six to 10,000 dollars a year where we do monetize is predominantly on the supply side and that's on the vendors. And so ACV on …”

“Naturally, we're hoping for the compounding effect that now it kind of starts to expand within the companies, and you know, that will reach ACVs of like 150 to 200,000.”

“In total like our ACV right now is about 14,000 per year.”

“For us, as our ACV grows, Ah, sales is actually a viable motion. It was really not before. So based on your category and your pricing model that can really dictate, ah, what option you have available to you.”

“The ACV is Around right now, like, 55,000 US dollars a year. So about 4500 US dollars a month, I would say.”

“So in USD right now, our ACV is 1100 dollars. So if you divide that by 12, it would give you roughly 90, 92 dollars.”

“So incentives for us where we offer an iPhone if you refer us to customers. So if you just do the math, an iPhone is like a thousand dollars, ECV is a three K, and then you have a NR that is like around like 90 90%. So it's like super worth it because your iPh…”

“The 78,000. That's 6500 a month times 12.”

“Our ACV is around like 25, 25 K more or less.”

“I think 30 to 40 K is like a great area for people to kind of get started. ACV.”

“The toolkit is roughly the same for every startup at a given ACV, at a given price point. So make sure they've sold in cloud, in SaaS at your price point, ok? Otherwise, don't fall in love with them.”

“So I told you we have like 28,000 dollars as our ACV on average, but of course we have guys paying us like what I have the numbers in Brazilian race. So like 5000 per year up to what? Let me see. Like to 300,000 per year.”

“It was, I remember that, that interview, but it was less than that right now. It's north of 30.”

“Somewhere around that, yeah.”

“If you're going to do this minimum annual contract value, 25 grand. That's just becomes what it is. And maybe that's not a hard, but maybe it's 18 grand or 20 grand or something, but it's, it has to be worth your time period. And the offer of we'll do this and…”

“Average ACV, so annual contract value per month that we expect from each individual head is 75 K minimum. So that's their sort of floor.”

“I mean, we usually talk about 10 K a year, like a thousand a month, kind of as a benchmark. Cause that's where you're going to have some multiple calls with at least a couple of decision makers in an organization. So there's needs to be some real meat to the s…”

“When companies are between say a couple of million dollars, two, three, four million dollars of ARR, you know, their average account sizes would be anywhere about 50,060 thousand dollars. But as they grow, start growing beyond that, then we see the hundred K d…”

“If your product today is, say, 300 bucks a month, ok, and that's great, but next, but you're starting to get a few bigger customers, and your goal next year is do 20 K deals, 20 K ACV deals. If this person has sold at 20 K, he or she will have developed the sk…”

“Our average says ACV is around 20,000 dollars a year. There are a few hundreds of thousands, but the average is around 20,000.”

“It's north of 30.”

“So we look for a minimum of 10,000 dollars.”

“So overall ACV, I would say, is in the tens of thousands. But as small as a couple of thousand bucks a month, a year, all the way up to millions of dollars a year.”

“Our ACV is roughly around 20,000 right now.”

“So it's actually the ACV across the enterprise account that is 25 K.”

“If I look on new ACV that we get versus, versus how much we spend in sales and marketing, it's about a one-to-one ratio.”

“So we're north of 200,000 per year.”

“Look, when we were small, we focused on TCV as opposed to ACV which I think is very common. Total contract value. So, you know, a lot of early stage companies focus on this, which is especially the way you pay your salespeople and it makes you feel bigger beca…”

“This is how we raised our ACV from 1800 bucks to 90,000 dollars, right? It is by me getting in, in the dirt and figuring out what actually is valuable.”

“The average customer typically starts with a subscription that's somewhere around 60 K and ACV. And that's just on subscription fees.”

“If you're doing bottoms up growth, I think you have to expect a lower ACV, which is a different way to build a sales team. And so you just have to be more comfortable with either inside, inside, outside models, and then you have to be more comfortable with foc…”